Governor Brown Signs into Law Sweepstakes and Contests Bill for Wine, Beer and Spirits Licensees

Sep 25, 2012

SAN FRANCISCO - Governor Jerry Brown has signed the Wine Institute-sponsored SB 778 (Padilla), the bill that allows manufacturers or licensed suppliers of wine, beer or spirits to conduct consumer sweepstakes and contests in California. The Senate previously passed the bill on a 37 to 0 vote and the Assembly passed the bill on a 75 to 4 vote. The bill will take effect on January 1, 2013.

Californians will now be able to join consumers in the other 49 states to enter a sweepstakes or contest conducted by a manufacturer or supplier of wine, beer, or spirits. SB 778 will allow a Californian 21 years or older to submit, for example, a sweepstakes entry with a chance to win a trip to California wine country or to enter a contest for the best recipe or photograph.

Assembly amendments split consumer contests and sweepstakes into separate code sections and provide more clarity to aid ABC enforcement. Additionally, the amendments modify a portion of the ABC's Rule 106 so that licensed beverage suppliers are able to sponsor sweepstakes with non-profits, third-party providers, for-profit businesses, and licensed retailers consistent with the limitations in the measure.

According to Wine Institute, sweepstakes and contests provide a winery with an important tool to build brand awareness with its consumer base which is a challenge with over 8,000 wineries in the U.S. alone. California now becomes the 50th state to allow sweepstakes and contests for wine, beer and spirits licensees.